When the world gets closer.

We help you see farther.

Sign up to our expressly international daily newsletter.

Sources

Is Latin America Ripe For A Startup Revolution?

By allying themselves commercially, Mexico, Colombia, Chile and Peru have created a massive consumer base — just what new, home-grown tech firms need to grow and prosper.

Winning spirit in Santiago
Winning spirit in Santiago
Igor Galo

-Analysis-

MADRID — The leaders of Mexico, Chile, Colombia and Peru weren't the only ones who traveled to Puerto Vallarta, Mexico last month for the latest presidential summit of the Pacific Alliance (AP in Spanish) trade bloc. Some 250 business leaders, members of the AP's Business Council, also made the trip — to share ideas on how to boost trade and investment among the bloc's member countries.

Little wonder, given the opportunities available in a trade alliance that represents more than 220 million people. But what doesn't make sense is how few, if any, of the business leaders in Puerto Vallarta were startup entrepreneurs. That ought to change, because together, the combined customer base in Chile, Colombia, Mexico and Peru has more than enough critical mass to turn startups into more competitive "scaleups."

A large customer base is crucial for any firm that wants to keep growing, generate business and quality jobs in their countries, and compete with European or Asian rivals that already enjoy bigger markets in terms of population and spending power. And with startups, the options are fairly straight forward: grow, die, or sell out to foreign competitors, which means losing decision-making power as a region.

Together, Mexico, Chile, Colombia and Peru can create more Latin American unicorns.

The AP bloc clearly has potential for emerging tech firms, as discussed extensively at last year's South Summit AP in Bogota, Colombia. Further evidence comes from a joint report on Spanish technology startups done by Lufthansa and IE Business School. The report found that the most attractive destinations for Spanish tech firms were Mexico, Colombia, the United States, Chile and Peru. Ahead of countries like the United Kingdom and France.

If Spanish businesses can see this potential, then the AP countries should as well. Their trade alliance is a perfect framework for helping regional tech businesses grow. Together, Mexico, Chile, Colombia and Peru can create more Latin American unicorns to compete globally. Because when it comes to business growth, market size really does matter.

You've reached your limit of free articles.

To read the full story, start your free trial today.

Get unlimited access. Cancel anytime.

Exclusive coverage from the world's top sources, in English for the first time.

Insights from the widest range of perspectives, languages and countries.

Migrant Lives

Why The "Captains" Of Migrant Trafficking Boats Are Often The First Victims

Since 2015, Europe's strategy to stop irregular migration has focused on arresting so-called smugglers. But those steering the vessels are usually desperate migrants themselves, forced to take the helm.

Photo of Migrants Rescued in Mediterranean Sea

First approach of the rescue boat of the Spanish vessel ''Aita Mari'' to a precarious metal boat carrying 40 sub-Saharan migrants.

Annalisa Camilli

ROME — For the past two years, Mohammed has been living in Antwerp, Belgium. He works as a dockworker, although he does not have a contract. Originally from Freetown, Sierra Leone, he arrived in Italy from Libya in May 2016 on a fishing boat.

“The sea was bad, and everyone was vomiting,” he recalls.

Then, salvation: the Italian coast guard rescued them and brought them to Sicily. But when they arrived in port, Mohammed discovered Italian authorities were accusing him of a crime: aiding and abetting illegal immigration.

He was the boat’s cabin boy, and migrants on the boat identified him as a smuggler. He was arrested and sent to prison, where he remained for three years as the trial took place.

“I could only call home after a year and a half. That’s when I learned that my father had died. He had been sick, but I hadn’t even known,” Mohammed says. “My family was sure I had died at sea because they had not heard from me.”

He speaks slowly on the phone, struggling to remember. This was the most difficult time of his life.

“I had gone to Libya to work, but the situation in the country was terrible, so I decided to leave. I paid Libyan traffickers,” he recalls.

Keep reading...Show less

You've reached your limit of free articles.

To read the full story, start your free trial today.

Get unlimited access. Cancel anytime.

Exclusive coverage from the world's top sources, in English for the first time.

Insights from the widest range of perspectives, languages and countries.

The latest